Morning Commentary: Investment-grade bonds steady at open; JPMorgan, Verizon mostly unchanged

By Cristal Cody

Tupelo, Miss., March 23 – High-grade bonds traded mostly flat over the morning as the session got underway, according to market sources early Monday.

JPMorgan Chase & Co.’s 2.25% senior notes due Jan. 23, 2020 that were reopened on Thursday traded flat to 1 basis point weaker.

Verizon Communications Inc.’s 6.55% bonds due 2043 remain active and traded 1 bp softer.

The Markit CDX North American Investment Grade series 23 index was unchanged at a spread of 63 bps.

JPMorgan steady

JPMorgan Chase’s 2.25% senior notes due Jan. 23, 2020 were unchanged to 1 bp softer at 90 bps offered, according to a market source early Monday.

JPMorgan Chase priced a $1.25 billion add-on to the issue (A3/A/A+) on Thursday at Treasuries plus 95 bps.

The original $2.5 billion issue priced on Jan. 15 at 110 bps over Treasuries.

The financial services company is based in New York City.

Verizon eases

Verizon’s 6.55% bonds due 2043 traded 1 bp weaker at 212 bps offered in the secondary market, a source said.

Verizon sold $15 billion of the bonds (Baa1/BBB+/A-) at Treasuries plus 265 bps on Sept. 11, 2013.

The telecommunications company is based in New York City.

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